Anglo American names new chairman

By Eric Onstad

LONDON (Reuters) - Anglo American (AAL.L) (AGLJ.J) appointed veteran industrialist John Parker as chairman on Friday, moving to bolster its leadership as it seeks to fend off an unwanted "merger of equals" proposal by rival Xstrata (XTA.L).

Analysts said Parker was a strong choice given his management and merger experience, noting that although he made no mention of Xstrata, his first comments reiterated Anglo's arguments that it has strong prospects as a stand-alone group.

RBS analyst Tim Huff said the appointment was a "huge positive strategically," noting: "For Anglo shareholders, there will be a strong drive towards shareholder value, the delivery of which will in itself determine whether Anglo and Xstrata will go for a nil-premium merger."

Michael Rawlinson at Liberum Capital said the appointment may still lead to talks with Xstrata or another suitor, but Parker would first want several months to assess the group.

"Having sold many companies he has a very strong track record in corporate action... His appointment will be taken positively by UK institutions since he will not be cowed into adopting a pre-existing strategy or be bullied into a deal."

Anglo, which owns the world's biggest platinum producer, said on Friday Parker would join the board immediately and take up the post held by retiring Mark Moody-Stuarton August 1.

Parker is chairman of British energy network provider National Grid (NG.L) and will retain that post, but will step down as co-chairman of paper and packaging group Mondi (MNDI.L)(MNDJ.J). Mondi was spun off from Anglo two years ago.

Anglo's London stock fell 0.4 percent to 1,645 pence by 11:23 a.m., outperforming a 1.5 percent drop in the UK mining index.